Is Medicare a business without a future?

[rmhaire]

Since I have being good to my clients, I do other things besides Medicare too. The point is, it is a bit more involved than it appears. I do not think it is a worthwhile side line of business for most advisors to consider branching into, especially if they already have found success in another primary line.

By the way, I am assuming "good agent" and "good business" do overlap, but do not mean the same thing. Agree?

I've never seen a bad agent write good business.

 

[MRW62]

Medicare should be on its final tour. There is too much FWA, and it would be easier to control if it was ACA for everyone or something similar. This should start to take shape over the next few years.

Agreed. It makes sense to make ACA the hub and integrate Medicare into the marketplace framework, where turning 65 automatically shifts one from an ACA Marketplace plan to a Medicare plan (shopping Med Sup, Part D or Med Adv) or you enroll in Medicare via the Marketplace framework. This would simplify the process.

 

[somarco]

. It makes sense to make ACA the hub and integrate Medicare into the marketplace framework,

So . . . . you want to take the sickest pool of people and merge it in with the healthiest pool . . . basically a reverse Medicare for all.

How will that help?

 

[EckoRomeo]

Agreed. It makes sense to make ACA the hub and integrate Medicare into the marketplace framework, where turning 65 automatically shifts one from an ACA Marketplace plan to a Medicare plan (shopping Med Sup, Part D or Med Adv) or you enroll in Medicare via the Marketplace framework. This would simplify the process.

Why does making ACA the "hub" make more sense than the stays quo? Most T65's aren't enrolled in ACA plans. Automatically enrolling beneficiaries in a plan doesn't ensure their doctors and medications are covered by their new plan either.

The reverse is actually simpler, and while both are remote possibilities, it's also the most likely.

 

[rousemark]

Why does making ACA the "hub" make more sense than the stays quo? Most T65's aren't enrolled in ACA plans. Automatically enrolling beneficiaries in a plan doesn't ensure their doctors and medications are covered by their new plan either.

The reverse is actually simpler, and while both are remote possibilities, it's also the most likely.

Yeah.. the ACA folks would have the choice of OM or Advantage just like the older folks. And agents could get rich.

 

[MRW62]

So . . . . you want to take the sickest pool of people and merge it in with the healthiest pool . . . basically a reverse Medicare for all.

How will that help?

Not the same pool or plans but the same framework/system/process.
Medicare could be integrated into the marketplace framework, where turning 65 automatically shifts one from the ACA Marketplace plan to their Medicare plan options. This would simplify transitions. For those not on ACA plans you do an application and start the process.

 

[Jeff Fowler]

Not the same pool or plans but the same framework/system/process.
Medicare could be integrated into the marketplace framework, where turning 65 automatically shifts one from the ACA Marketplace plan to their Medicare plan options. This would simplify transitions. For those not on ACA plans you do an application and start the process.

Health Sherpa is already doing both ACA and Medicare plan shopping. I see in terms of compliance and overall process, the ACA and Medicare are becoming similar. There are still differences in enrollment eligibility, probably always will be unless it does become something like "Medicare for All".

If "Medicare for All" happens, then insurance companies can still offer "supplemental" and/or ancillary products to create market differentiation and the opportunities to add underwriting those types of products. So, agents will still be needed.

The goverment has had a history of trying to eliminate, or at least hinder, agents. It has never been accomplished. That does not mean that remaining compliant and making money has become or will become any easier/less costly. I will still contend that compliance is one of the larger cost and competitive barrier to entry in becoming a Medicare agent.

One "founded" alligation, especially if it causes the largest carrier in the area to terminate your appointment, then you are probably done in that market. The agent is largely on their own to clear allegations. From presonal experience, no one comes running to your aid to clear them and get them to be determined "unfounded". Ever try to prove yourself "not guilty"? It is the same thing.

If you don't have you clients' meetings recorded via video and audio, you probaly can't clear any allegation. The cost and managing the storage of thesee recordings is yet another cost of compliance. You also get dinged if you can't produce your phone and online meetings' recordings.

Most people coming in and wanting to be Medicare agents have no idea of these costs and management challenges. Most of us already doing this have figured out how to manage. However, I know many that have not and are one allegation away from be severly impeded in keeping their appointments. You loose that major appointment, and all of renewal commissions in your book with that carrier are gone.

I am not Chicken Little and saying, "The Sky is Falling!". I love what I do and my business approach to take care of my clients and find the next person I can profoundly help. I am also bent on doing what I can and manage to not repeat past mistakes. Yep, I beleive in being that "fiduciary" now, and over th past two decades, before we have goverment regulations requiring it.

No, the Medicare bsuienss is not for the meek. However, it is worth repeating, that fortune favors the brave. I am going to stay with it until we are regulated out of existance or I am too tired to help my clients and find new people to help. I would also say you should be very determined and somewhat stubbord to make it in this business.

Steep learning curve. You will need great FMO partners that will provide traning and business support.

If you are venturing into the Medicare business, I wish you well and hope you choose the high road to being a "good agent". Our industry has too many just getting their chin to the bar and plenty a lot worse that that.

This is why the Medicare industry faces so much regulation. FFT...

 

[InsuranceGuy29]

Medicare should be on its final tour. There is too much FWA, and it would be easier to control if it was ACA for everyone or something similar. This should start to take shape over the next few years.

This would be the absolute worst thing to happen to the population, aside from nuclear annihilation. My premiums for ACA are insane, and my benefits are absolute garbage.

The ACA needs to be completely reworked, and benefits need to be balanced out much more so that higher Middle Class earners can actually get something that resembles decent coverage.

Way too many able-bodied people on the "free" Medicaid dole, sucking up the Middle Class's tax dollars, that could be going to this.

I understand some people need a temporary hand. I get it, but this system essentially rewards them for staying poor with "free" insurance that's funded by the Middle Class.

You have generations of people coaching their younger relatives on how to keep getting these benefits for life. Need to start incentivizing people to move up in society.

There should be no such thing as "free" (solely funded by the Middle Class) insurance. Even low earners can afford to pay a little something, even if it's only $20/month with a $700 maximum spending limit. That is doable for anyone.

Some people (cough, cough...democrats) have to get out of this Obamacenomics "award people for being parasites" mindset.

 

[somarco]

Medicare could be integrated into the marketplace framework, where turning 65 automatically shifts one from the ACA Marketplace plan to their Medicare plan options. This would simplify transitions.

In theory, maybe . . . but my market is currently 98% T65 . . . at least 70% are coming off EGH. Even though they have had a PPO/HMO plan for the last 30 years, hardly anyone understands how the plan works.

The folks I talk to coming off Obamacare have been paying the full freight, no subsidy, and they can't wait to get out of that plan. Also, they share the same confusion their T65 brothers and sisters who had EGH.

Partly because most of them were healthy and rarely used it for anything other than primary care.

Now they turn 65 and are bombarded with ads everywhere, people calling them, knocking on their door . . . each one says their plan is better than the other plans they have seen.

There is nothing SIMPLE for T65 entrants.

And it is further complicated by a cacaphony of sales pitches disguised as "information".

 

[Medicare bro]

I've never seen a bad agent write good business.

Why are you hanging out with bad agents?